276036 WNITE - CITY CLERK
PINK - FINANCE COUtICll '`y`��j
CANARY - DEPARTMENT G I TY O F SA I NT PA IT L +�8Q r
BLUE - MAYOR File N O. ,� `� `-'� �
Cou cil Resolution
Presented By � �
Referred To Committee: Date
O�t of Committee By Date
WHEREAS:
1 . On November 18, 1980, the Port Authority of the City of Saint Paul adopted
Resolution No. 1735 giving preliminary approval to the issuance of a tax exempt mortgage note
in the amount of approximately $7,000,000 to finance the construction of a 200-room Holiday
Inn to be located at I-94 and McKnight Road and Suburban Avenue by Battie Creek Hotel
Associates, a Minnesota partnership comprised of William H. Clapp, Edward Clapp, Frederick
Clapp and Rohland Thomssen.
2. Laws of Minnesota 1976, Chapter 234, provides that any issue of revenue bonds
authorized by the Port Authority of the City of Saint Paul , shall be issued only with the
consent of the City Council of the City of Saint Paul , by resolution adopted in accordance
with law;
3. The Port Authority of the City of Saint Paul has requested that the City Council
give its requisite consent pursuant to said law to facilitate the issuance of said revenue
bonds by the Port Authority of the City of Saint Paul , subject to final approval of the
details of said issue by the Port Authority of the City of Saint Paul .
RESOLVED, by the City Council of the City of Saint Paul , that in accordance with Laws
of Minnesota 1976, Chapter 234, the City Council hereby consents to the issuance of the
aforesaid revenue bonds for the purposes described in the aforesaid Port Authority Resolution
No. 1735, the exact details of which, including, but not limited to, provisions relating
to maturities, interest rates, discount, redemption, and for the issuance of additional
bonds are to be determined by the Port Authority, pursuant to resolution adopted by the
Port Authority, and the City Council hereby authorizes the issuance of any additional bonds
(including refunding bonds) by the Port Authority, found by the Port Authority to be
necessary for carrying out the purposes for which the aforesaid bonds are issued.
COUNCILMEN
Yeas Nays Requestgd by Department of:
Hunt
�evine In Favor
11Aede►ax-
McMahon O
Showalter - __ A g8i[1 S t BY
Tedesco
�� � DEC 9 198U Form A pr ved by City Attorney _
Ado ed by Council: Date — � ��1��a
ertified P� �. d by C nc.� Secretary BY
�
Ap d by ;Vlayor: a v _���BQ Ap o by Mayor or ub ion to Council
BY - – — BY
;��:;����k►, ,�;w�. �� �9ao
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`'` ' � Resolution No. 1735 .
RESOLUTION OF �
' ' THE PORT AIITHORITY OF THE CITY OF SAINT PAUL
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' WfiERE.�S� the puroose of Minnesota Statutes, Chapter .
458, �hereinaf�er called "Act") as found and determined by the
legislature is to proruote the means by which marginal area
protierties may be developed or redeveloped to help cure the .
problems incident to the- existence of such properties as set
• forth in Mirinesota. Statutes., Section 458.191, Subdivision 3; �
and
- V7HEREAS, a. sound development of the economic security
of the peoples of the City of Saint Paul is dependent upon
� �proper development and redevelopment of marginal properties,
and the general welfare of the inhabitants of the Port District
requires the remedying of such injurious conditions to which
' marginal •properties are now subject; and
WHEREAS, the development and redevelopment of such �
marginal area properties cannot be accomplished by private � �
enterarise alone without public participation and assistance in �
the acquisition of land and planning and i.n the financing of
land ass�mbly in :he work of clearance, development and
redevelopment, and in the making of improvements necessary
therefor; and
WF�REAS, t,o protect and promote sound development and
redevelopment of marginal land and the general welfare of the �
inhabitants of the Port District, it is necessary to remedy
such injurious conditions through the empl'oyment of all �
appropriate means; and
WI�REAS, whenever the development. or redevelopment of �
� such marginal lands cannot be accomplished by private -
enterprise alone, without public participation and"assistance . _
in the acquisition of land and planning and in financing of
development and redevelopment, it is in the public interest to
advance and expend public moneys for those purposes and to
provide for means by which such marginal lands may be developed
� or redeveloped; and �
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WHEREAS, the development or redevelopment of such
ma.rginal lands and the provision of appropriate continuing land
use constitute public uses and purposes for which public moneys
may be advanced or expended and private property acquired, and
are governmental functions and are of state concern in the �
interest of health, safety and welfare of the peoples of the
state of Minnesota and of the City of Saint Paul; and
� 47HEREAS, The Port Authority of the City of Saint Paul
(the "Authority" ) has receiued from Battle Creek Hotel
� Associates (hereinafter referred to as "Company" ) a request
that the Authority issue its revenue bonds (which may be in the
form of a single note) to finance the acquisition, installation
and construction o-f a motel and related facilities (hereinafter
collectively calied the "Project") in the City of St. Paul in
an econonic dsve3opr�ent district established in accordance with
Section 458 .191 of the Act and Laws of Minnesota, 1971, Extra
Sessio-�, Chapter 35, Section 9, all as is more fully described
in the staff report on file; and
tdHEREAS, the Authority desires to aid in the
develo�ment of narqinal land, to facilitate the selective
develop�nent of the community, to retain and improve its tax
base ar.d to help it provide the ranqe of services and
employ^�ent opportunities required by its population, and said
Project will assist the City in achievinq that objective. Said
Project will help to increase the assessed valuation of the
� City and help maintain a positve relationship between assessed
valuation and debt and enhance the image and reputation of the
City• and .
WHEREAS, the Project to be financed by revenue bonds
will result in substantial employ�ent onportunities in the City
of Sain� Paul; and
WHEREAS, the Authority has been advised by repre-
sentatives of the Company that conventional, commercial
financing to pay the capital cost of the Project is available
only on a lirnited basis and at such high costs of borrowing
that the economic feasibility of operating the Project would be
significantly reduced, but the Company has also advised the
Authority that with the aid of revenue bond financing, and its
resulting low borrowing cost, the Project is economically more
feasible; and
WHEREAS, Miller & Schroeder Municipals, Inc. ( the
"Placement Agent" ) has made a nroposal in an aqreement ( the
"Placement Agreement" ) relating to the sale of the revenue
bonds to be issued to finance the Project; anc3
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�� � 6JHEREAS, the Authority, pursuant to Minnesota
Statutes, Section 474. 01, Subdivision 7b did publish a notice,
a copy of which with proof of publication is on file in the
office of the Authority, of a public hearing on the proposal of
the Company that the Authority finance the Project hereinbefore
described by the issuance of its industrial revenue bonds; and
WHEREAS, the Authority did conduct a public hearinq
pursuant to said notice, at cahich hearinq the recommendations
contained in the Authority' s staff inemorandum to the
Commissioners were reviewed, anr_i all persons who appeared at
the hearing were given an opportunity to express their views
with respect to the proposal.
NOW, THEREFORE, BE IT RESOLVED by the Commissioners
of thz Port Authority of the City of Saint Paul, P�Iinnesota as
follows:
1. O:� the basis of information available to the
Authori�y it appears, and the Authority hereby finds, that the
. premis�s on w;�ich said Project is to be located constitute
marginal land w�thin the meaning of Section 458 .91, Subdivision
4 of tne �ct; that the availability of the financing under the
Act and willingnass of the Authority to furnish such financing
will be a substantial inducement to the Company to undertake
the Project, and that the effect of the �roject, if undertaken,
will be to encourage the development of economically sound
industrYr and cer�merce and will help to prevent chronic
unempl��Tment, and will help the City to retain and improve its
tax base ard provide the range of services and employnent
opportunities required by its population, and will result in
more intensive development and use of land caithin the City and
r�ill eventually result in an increase in the City's tax base.
2. Subject to the muttial aqreenent of the Authority,
thz Co���any ar:d �he purchaser of tne revenu� bon�3s as to the
details of a revenve agreement and otner documents necessarv to
evidence and effect the financinq of the Project and the
issuance of the revenue bonds, the Project is hereby approved
and authorized and the issuance of revenue bonds of the
Authority (which may be in the form of a sinqle note) in an
amoun.t not to exceed approximately $7, 000, 000 (other than such
additional revenue bonds as are needed to complete the Project)
is authorized to finance the costs of the Project.
3. There has heretofore been filed with the
Authority a form of Preliminary Agreement between the Authority
and Company, relating to the proposed construction and
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financinq of the Project and a form of the Placement Agreement.
The form of said Agreements have been examined by the
Commissioners. It is the purpose of said Agreements to
evidence the commitment of the parties and their intentions
with respect to the proposed Project in order that the Company
may proceed without delay with the commencement of the
acquisition, installation and construction of the Project with
the assurance that there has been sufficient "official action"
under Section 103 (b) of the Internal Revenue Code of 1954, as
amended, to allow for the issuance of industrial revenue bonds
to finance the entire cost of the Project upon agreement being
reached as to the ultimate details of the Project and its
� financing. Said Yreliminary Agreement is hereby approved, and
the President and Secretary of the Authority are hereby
authorized and directed to execute the same.
4. Upon execution of the Preliminary Agreement by
the Company, the starf of the Authority are authorized and
directed to continue negotiations with the Company so as to
� resolve ths remair.ing issues necessary to the preparation of
the Revenue Agreer�ent and other documents necessary to the
adoption by the Authority of its final bond resolution and the
issuance and delivery of the revenue bonds; provided that the
President (or Vice-President if the President is absent) and
the Secretary (or Assistant Secretary if the Secretary is
absent) of the Authority, or if either of such officers (and
his aiternative) are absent, the Treasurer of the Authority in
lieu of such absent officers, are hereb_y authorized in
accordance with the provisions of hiinneso�a Statutes, Section
475.06, Subdivision 1, to accept a final offer of the purchaser
to purchase said bonds and to execute a purchase aqreement
setting forth such offer on behalf of the Authority. Such
acceptance shall bind the underwriter to said offer but shall
be subj�c* to approval and ratification by the Port Authority
in a �ormal st:pblsmental bond resolution to be adonted prior to
the delivery o= said revenue bonds.
5. The revenue bonds and interest thereon shall not
canstitute an indebtedness of the Authority or the City of
Saint Paul within the meaning of any constitutional or
statutory limitation and shall not constitute or give rise to a
pecuniary liability of the Authority or the City or a charge
against their general credit or taxing powers and neither the
full faith and credit nor the taxing powers of the Authority or
the City is pledged for the payment of the bonds or interest
thereon.
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6. In order to facilitate completion of the revenue
bond financinq herein contemplated, the City Council is hereby
requested to consent, pursuant to Laws of Minnesota, 1976,
� Cha�ter 234, to the issuance of the revenue bonds herein
contemplated, which may be in the form of a single note, and
any additional bonds which the Authority may prior to issuance
or from time to time thereafter deem necessary to complete the
Project or to refund such revenue bonds; and for such purpose
the Executive Vice President of the Authority is hereby
. authorized and directed to forward to the City Council copies
of this resolution and said Preliminary Agreement and any
additional available information the City Council r�ay request.
. 7. The actions of the Executive Vice-President of
the ALthority in causing public notice of the nublic hearing
and in describing the general nature of ,the Project and
estimating the principal amount of bond� to be issued to
finance the Pro;ect are in all respects ratified and confirmed.
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Adopted November 18, 198U,. � � , '
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Attest � , i ` -
�'-Pr�s-idefft
^ The Po,r� Au�hority of the City
� of Saint Paul
'.i , �;�
i' r �''��%��'fi/l/
�ecretar-y
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". � =�- `►' , OM Oi: 12/19?5 .
� �`�� :" �+ �� � , . • Rev. : 9/8I76
- F�m �Pe. # 80- �/7
µ . EXPLANATION OF A�IINISTRATIVE ORDERS,
RESOLUTIONS, AND 4RDINANCES � ��� '
°_ . - . ., . . • . r . �. . '� :::.
. � . - �; .� : . . . � � . . . . . .. ,. . . . .. . .� .
: da►te: Nt�vemher l8, 198p .
���Erv��
T0: MAY4R GEORGE LATIMER - NOo" 21 '198U
FR: � E. A. Kraut �ort Author�ty ��"�� w —
�,Z�-g�
R�: BATTLE CRE HOTEL ASSOCFATES �{j � � I �
$7,0OO,OQO TAX EXEMRT MORTGACE NOTE V
ACTION RE�UESTED: �
I� accordance with the Laws of Mirmesota, Chapter 234, it is requested thart the City �
Co�rcil, by .I�solution, a draft copy of whicit is attac[�ed hereto, ap�rbve tf� issuance of .�--;
a� �1,0�O,OtIO tax exempt mortgage note ta finance tf� construction vf a 200-rovm Molida�y
��n to he loca��d at I-Q4 and McKnigh� Road and Suburban R�venue by Battle Creek Hotel :
Assaciates, a Mtnnesota par�tnsrship comprised of William N:. Clapp, Edward Clapp,
� � Freder#ck C1app and R�hland Tfwmssen.
PURPOSE AND RATIONALE fOR THIS ACTIQN: �
The purpose of the �x exempt mortgage note is to ftnance the cortstructi�rr of � 2�-r�
� Hollday Inn tv be located at I�9A� a�d McKni�g�t Road and Suburban Avenue by Ba�ttle Creek
Hotel Associ�ates, whi�h would help to satisfy the need for additionai rooms in �he area.
it is anticfpated that the pro�ect witl develop real estate taxes estima�ted at $175,i1Ei0
;per yeair, or s5,250,OQ4 during the tena of the bonds, artd will employ appraximately 100
persons.
ATTACHN�NTS:
Staff Memorandum �
Draft C�ty Councfl Resolatton
Port Aut,�arity Re�olution No. 1735
., R� � � T �`������
'i� UTHORITY
OF THE CITY OF ST. PNUL
Memorondum
TO; Board of Commissioners DA'tE Nov. 14, 1980
Meeting ��ov. 18, 1980
,,
FROM: E. A. � u�
;
SUBJECT: gATTLE CREEK HOTEL ASSOCIATES
CREATION OF INDUSTRIAL DEVELOPMENT DISTRICT
RESOLUTION N0. 1734
PRELIMINARY AND UNDERWRITING AGREEMENT -
SALE OF �7,000,000 TAX EXEMPT MORTGAGE NOTE
RESOLUTION N0. 1735 '
1 . PORT AUTHORITY HOTEL STUDY
In late 1979 the Port Au�hority contracted with K. Bordner Consultants
for a hotel/motel room need analysis of the city of St. Paul . This study
evaluated the number of existing rooms, the number then planned for new
construction or rehabilitation, and evaluated various sites which were
deemed appropriate locations worthy of consideration.
Staff's recommendation for the study resulted from a Port .Authority
national effort to interest hotel/motel developers in considering St.
Paul in their plans in early 1979. This effort resulted in a considerable
expression of interest from numerous companies and it was thought important
that an overall evaluation of the number of rooms that could be supported
was essential . That study resulted in the following findings and con-
clusions:
"The following are under construction or in the planning stages:
NUMBER OF ESTIP'�ATED
P��A(�1E ROOMS OPEN I NG
Radisson Plaza 250 1980
The Inn (Addition) 60 1981
Ramada Inn (Addition) 152 1981
Budget (White Bear Avenue) 74 1981
Holiday Inn (I-94) 250 1982
St. Paul Hotel (Remodeling) 300 1982-3
TOTAL 1 ,086
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Board of Commissioners
Page -2-
Nov. 14, 1980
The 1 ,450 additional rooms we recommend should be placed on the followin�
sites which ►•�e selected from among the ten analyzed:
SUGGESTED fdUM6ER
SITE LQCATION QF ROOP�IS ��ARKET
Civ�c Center (B) Downtown SL. Paul 750 Convention/
' � Corporate
Oxford ;A) Downtovm St. Paul 250 First Class
Riverview-Lafayette (D) P.iverview Indusirial 150 First Class/
Park �!�ddle raark2t
Mi d���a��-Haml i ne �G) i�ii d���ay 300 Fi rsi Cl ass
. TOTAL 1 ,nFr��
- - - - - - - - - - - - - - - - - - - - - - - - - - - -- - - - - - - - - - - - -
This indicates that �vith those projecis under construction or alanned ti�e
need for "�otel rooms in St. Paul ilzrou�h 1986 totaled 2,535.
�o dat2, 9�� roa�-�s have been campleied, are un��r consiruction, cr h�ve b��en
approved on a �reliminary ac�reement basis. Thpse are :
inn �xpansion 50
Ra;�:ada ?r,n 152
S�. Paul ;i;,t�1 260
Rdda�'!ay 1 r,n 24�
kGaissen 250
g�?
Of the ne�,�r roors, 712 have been financed t'r�rouoh Lhe iss::ance of eit'r�er revenue
bonds or iax exempt mortgage noties by the Si. Pa�.�l Port Authoriiy.
Ir, considering ihis project it should be noted that zhe new or ren�del2d hozel
rooms , ir,cluding zhis one, would zhen iotal 1 ,162 G��;�ich , based upon the
eva]uation by ihe summary in tile Port huthority study, �.�ould in�ica±� a
shorta�e still �r.ists of approximatelv 1 ,3i5 rcoMs .
2< 'T�'E ;I
�nf� �� �Ci
i��e ;;��rtre�,s!-.i o pro!�os i ng to constr�ci tnp Hol i aa�� i nn i s CGITial"'t SEa of
`E�'illiarr r. Cla;��, �d�.aard Clapp, Frederic4: rlapa, and �ohland Thomsse^, a
� ,-�i n�es��a ��artnersni p dba Battl e Creek !-���tel Associ a�es .
;�;�,� c�;~s�nal r;��a�cial Si,dLC'"12iltS of �~�c fcur ir���ivie�.;als rzflect a ,.�r :rortn
0� 1 i �'X�°�� OT :? ��J,JJ�. Til° i�3r'"i,1�:?*,':;il� �lc� :1°��l'i u i;c'.� 3 . �:C1G�-"i°"1L CC;'�-
Lf'4CL '��'?T." i:0� �c+a;�� IrII1S Of N^"i2Y'1Cd. il':t � varies CC!l5?v°?"dFJl,y �?"O�;�JL�C C�;SLG��3fj''
franc;��i se c�pera�i on. "�;��� aot~ee,,�ent al�c, �rovi des �-',c i i day inns an c:�ii e�� to
ac�uire t�e ^arL�ership' s interest at a rUTUI'� date.
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Board of Commissioners
Page -3-
t;ov. 14, 19BQ
3. THE PROJECT
The project is comprised of a 200-room Holiday Inn located at I-94 and
McY.night P,oad and Suburban avenue which is being designed to meet certain
specified needs in room types of the 3-M Company. The facility will
incTude the following:
Raoms Inventory: King/Leisure 120
Kina Sofa 36
Double/Double 40
Regular Suite 3
VIP Suite 1
ZGO
� g0-100 Seat �estaurant
125 Se�Z Lounoe
hlee�i r�c Roo:�:s: 6oardroom 20 Seats
. Ban:�uet Hall 150
Classroom 75
Classroon 75
320
tnci:�sed Pool and Sauna
:ti dG�G'; '.:l'v't, �f° t'E'�'CdUI"dilt TdC'1� ',�125 '-�'1�� �J2 �U�°;'',0'" L� �i3OSe customaril,y
��U�i4 1;1 !;j ��,;Jd;� i;i0;,A1 faci 1 iL i?S . 1 i?2 ��Y'Or?�ja�:; �`1'i_ �C _ '. . � � �`E _ . � _�r'J�:"�
by .:"t� ��.c:UEtli?J�^�� ���'^;;UrdLlOit d;lrf 1t5 LOLd� C� L -•!1 � . ,.,...�Lri.iC .,� , l�� .
L, L.
fl,��;;�Ur�, '�1nCllt"^�5; d`'1� eQUirilE!'?t� diid J!"°Orc'?li"C E= ._':�� '�'?� � ��':' _ . "`1"��::1 -
�nai.el,v Y9,C0�,�OG. ' _ ,
Clapp-�'homssen Compan,; and Port /�uzhoriiy staff have ry_L -��itr zhE Co�-^;�niti,r
Council ,�istrict 1 �•rho have fror our initial Early i�cz;ficatior� ex�r2��ed
some coricern relazive to adding an addiiional liquor lice�se zo t:��p neic���or-
hood and to tf�e amount of parkino contemolated �er t:1e facilizy. �"e D1SL{"1CL
Co�ancil Executive Baard �as a�c7roved the project ��:ith L��se ccncprns ex�r�ssed.
�O1"t :���L:10;"1L'.' SLdf� :1d5 ir:forned LhC.' �0'_i�Ci� �fict �."iE ?ort P.uz'r;�r;t'-' ?�n� ��1?
�{���nlrr�ni' i� i .;"�t'', �..°JiL`1 t�'l� C1�"v 0{ c:.. n3'.�� , . .%J� �'.�:'JO�:, �3"1S�V C^.:�"il;�' c;^�r
Lhe .�i ;-����,�}� ue�,art�-:cn� L�� �rov�rc t'r�e recessar� �ra�fi c c�ntrol .s• ���-� i r �he
EV2l1L Lii::�t 1L 15 G2t2r"'�1C�eCI L�+dL SuCii d S'r'�L°T; 15 'le��CC� 01'1Ce t�i15 `�C1i ?�;y
`i � 0':�u;l. lil ?��l�li;il ; i,il� (�f?Vc'loper !ld5 0?S1��laG' f?i � ,-:'13i15 tG 7Y'0'd'l.:� ci
"-d1"�'i� idT i0 L^dt 2::C2C'�S �'i';" C�GE dtl`� �'i:S d �n�Y'�SSC�i C�di'r',1"1� 1 ���'C d �EV°�
�c I t�,�rt ��i�� E. 1 p�•a �� � i-' c� �'r� � %inn(� � �L- -,. .�,r.,��r�,-{r_ a p �
��on �f �,�,. n�i, b.,r:,�..a trze� �� _ � ; _� scr_e,�.
;7L �s�u� �J�S?± �;``� i�!1;,-�0!"ltj� U1"�.c'u t�e �E`JE'�GD'2t�� �^ ?,. �'.J� t'° . t,,.� . _ - �. . ,.:1 i �
d'dc.i�c: l� "i;l' „?�2 h0',�!"�?':°1", t�'i2 7T'1C2 dSi�ed fJy� .,;1° :�'. ,'��'1'S r`!dr:2S- 1 ,:5 d�C��!:<1 -
si�ion ;�ror�i�i*ively expen�ive. ,!e have ir,dicated te ihe ncighbor'�;�c?5 as
� � , �.�s �����
Board of Cammissioners
Page -4-
Nov. 14, 1980
have the developers , that the parking ratio will be increased to the fullest
extent possible, and that in the eve�t that conditions should develop in such
a manner that the parking intrudes on tile neighborhood, furiher consideration
�ti�ould be oiven by the developer and tne Authority to acquisition of St:�d�o 94
at a future date if such an acquisitien can be worked out.
The pro;��rty is zcne�+ ~or the use proposed and the projeci ��ill be built
4�;i�il;in Lhe neighi limitazions provided in the Zoning urdinance if aa�roved
b;� the Pori nUL}10�ity and ratified by the City Council .
4. FIP,ANCIi<G
Financirg is proposed to be throug`� the ;ssuance oF a ;7,G0�,000 tax ex�;���t
-:-:ort�age noi:,e io b� nurchased by a r^�aj�r lerder, ?n �sserc��, the T,;�rLO;::a�
� �::cui�' i^en "e hel d pri vately ar� �:�e �r•�ieci; :•,o:,?d r�oi ue `i ra��c��� :;���a ur�o�;
i��e Port �uihori t���� ��5 ��� 1"d�20 C1"@�1 L dllG� Lr2 ?0+L l;i;t�eri ty �:r0u��i rvL G°
liable in zhe future.
!�1? t�'Ot"� :tiU�h0i�lr,y '.'.'UU�� derive 1L5 CUSLir?dT'f T15Cc'.� 2.f1.�.� t�G�'"�1iilSLi':i.' `:'; F�°� 9
i,,�`11Ch dl'�= ES±1(�l?�2� :f S� �ZuJ���� dUl"lr^ Li�� 3�• %o�� ?;",rti1Z?L1Ci� �'� � '' , 7� ,;5 +�S
n:?t"'13� C''ic?'Q�5 dS50Cldt°G� ':�.'lttl til� 1�cUdrC2 of bor:�5 G;^ r:�LeS . l� '� � a 'OS-
�iui'1 ,L'v �:��i. C;.ie LO l7E hiC�'ii 1t1i;E1'ESL Y'aLES 1(l ETi'eC'�i. ?.� i,rlt:.� CUrrc:'.,. LiI�"i�
t;;1dL' di! �`?LP.r'1C'1 1i0�? t�d1L'li c? tULuT^e �dKo_��1T �'jr,�� �-G .'"'':_ �:':1:"'�? i,::�:�.. i ,
�:�� ;�ro;;eci is apNroved. 7his ,•�ould be deier��i��r :�r;or tc acival ��1� a�,d
"1!,:SL d� �G �� uCtcd Cii b1' t;l? raULhCt"1 �y'.
.!i ?����iiJi�� T�i.r''. '�rO�CCI. �✓�.���� UeV?��I� i���� PJI.?�'� �G):1:� C.'�� �«�1.�1� C'. L .> li��'��r��
-�;� ;;,�=., `�r ai, cur!�ent rates :,5,2�0,000 �::rin� �.,. tz-r�i _� ��� ���-��_ . �,-.lc���-
m_nt t��i' 1 be a�tir�ximately i�0 persons. . _
�eas i bi 1 i�y of �h i s �ro jecz has been eval uated 5y La�,�E,�i,�ol & Hor����ain i n a
repert issued in Jar�uary 1980 and has b�en furL"e� ev.;luated by a ,��;^ke� ;tu���
by �cli�ay Inns. Each of these evaluations indicate that the projeci is ver;
r�asible and tf�at �t will rill d pdrt of zh� very su�staniial need for rco�s
�c�asioi�ed by t!-�e 7roxiriTy to the 3-tr Co�r�ary` s ceniral headquarters . T'r,Q
recert decision by ?-;� noi to pNoce2d ti��itn °5�3n� 1S!1111C a secc�nd he���uar�ers
cc:�?;�lex ir. �,'as!��ingto� Couniy and ins�ead ex.�and at �'�e ce�t�al heG�':.� - rier�
c�T.�lex has created a very substantial need for a�di�ianal lodgina, �ini��g, and
,r4E�?t��': C�^i,; r:,,:1� 1�1�5 . T`�e conservaLi��l ^PdSUt^e5 be1n� U1?.''iei'�,;dk�:� �V ;;-`�i L^v
IlO�.ISE �:';�; �' ^GOJ�� ltl C�OSe ;�T'OX1�'it,y :C ;,.',c C2fli.!'d� ��eadcuarter� L:; C;i�SErVE
��i�� 1 S S� �Cll i�l Cdi�Z i il 1 :S 1�.j,3Ct 0!'i t^2 T4L°� F�C1 � "' ^c� '' p r�r Liil S
7 � ; p, a a�ed
���1r�1FJ01";i00�. ,_ U� tl"..��° EXPdi15iCC1, i�,'�liCr ';rd5 ;�1"0,]�C:,�� �:le!i L;?E 'lr'Cc5531',;d
��c.L° dn''1"OV��S -%�t'C O�tained, ,��vj�CLS U� LO d'", d�dlt?O�d� �,��� 2�.17�Gj�AS dL
l�l?S CC'??�lpi� C`1r1' i;!'e rexi 10 ���earS� d"ic t^° �?`'nrC.� i�•^Y' c�G�lL10nd� t'J^�:� rn�
ti'd 1 il i f'�t , �C?� ?L i C-.S !':1 I � C^!1L1 t1U� i;'� ��t'0�;. �U`"'^�•,L1 V �: ��:t"^c i;u���°� G i L���� r:���!i
renial s l�i':'!'d',..'� �v �^O_5E'^`t;1:lOi:S i"id�c ���.r1 ��dl .. i �Y , i ri' C?� a r� i;c , " :'��J�CG
i,�;l L iE �i0�� ';Il.^.t.�il :�Ll"1 ''� 3;'lu' di"E? 11CL i!,1�1"':2� 1(1^ _ �c.L S�� ���1<.' 1^CG�:° _)..��yi '1��
t;��� Cit;� c� �i. �aul . �,�proval of Lni� �roiPci ��,�ill he1 , r�eei not �niv our
cv;:ra11 ro��; r�_�.�,s but ass isi ii-�e 3i; Co-;�any i n �ts ,•;c�asi n� uro�raT�.
Board of Commissioners
Page -5-
(�ov. 14, 1980
Based uoon Lhe cost and the recommended �7,000,000 tax exempt morigaae note,
the equity parLicipation by the partnership would be approximately �2,000,000
or approximaLely 22%.
5. UNDCR!�1P,I i I?;a
� I�;i-11er & Sc��roeder ;��unicipals nas a�reed to privately place the tax exempt
morzeage nozA and/or an inte�im note an� th� takeout financing iNi�h a �rivate
lender. �
�. CREP,TIOi; OF Ii�DJSTRIAL DEVEL�PP�t�iT DISTRICT
P.s reouired by ��iinnesota Siatutes Chapter 458, ro'r.ice has been publ �s��ed
. �or t;`�e creation or an irdustrial developmenL dis�ric� �c c�ver t�=� ar�a of
L;�e Holiday Inn a���± Studia 94 property. ��eatian of such ? ��strir.� is
ess2ntial �o �ort ,'�uti�ority financing for tne project arci star"f rcc���"?12r,�+c
approval or �l�e creation of tne district �y ado;:tio� or ;;es��lution `;,�. 1��4.
r,rn
i . „��,U��;ici;U;",.i:_.)iJ
lii i:'.CG^:�'?1'�111Q Li�1� �t"r,j2CL f01" �dY. 2XE^":�t *irldn:, ,��� ���r' �?�;;5 C�. �':.'�i'�'�
;,n� ccrccr,�s of t��e nei�nberhood �nd t�,e abiliiy ox ��:� .'���horit�J :r;� z;�Q
juhl 'C ��C�G`" CO exzrci�� SG:n2 CUt,trol OV�t" 4vilai, '1�`,': " ' _ �:3� �ni5 SiTE ``l�
��J r
�ar�ners^i�, repres�nts peeple ti•;`�c f��ave benn involv�c' i����an�✓y ^�an�,� �evelc;�,.��enis
iCi t�15 CGt";;;UC;�tY fJT" �'?tl�' �ears dl;C di"? 1^cS�7Ci Sl�'° �C �i� ilC-euS 0� L�'1� C:;!"-
'r�Uil?ty' d!1C't Li�� �Ie14�l�JOt"F10�� �Q L�1C' exient Lhdt 2CC�"!,�i;11C$ Df?t'fll�. "�9 U��' '?f
`_�3X c^Y.l,!'i���,, ril"!�11C7"1^y li', L;iiS '.l1StdC?�Q ,,'1� i i^25��� ' r „ i i . - M�+ � _
+ „
l. � .. (4 (1' .. . '.�i . l�. .... � .
�o t;:� �.?,ea, ue�i�;�E� in line �;it`� r�umercus sug;es�ic;��� "}�c��^� siar�' :r;1 i�e
i�°1��:1J'i`':QC�; �;�'�l�t� dL L!i° S�fil'� tll'!�-? f'GE?�1r0 a nee� :�:�C', .. �Y' 0`.iil ,, .:�1°�
fcrecast. �,riih �he c;�rrzrt zonin� on ii�is site t:?is devclop��eni ot� a lesser
ouality development can be built G�rithout the ne�d for any �ublic i�;,;:t ;` ��i
financed �ti�ith iax exempt fi�ancing. This participation a�d the abil ;iy �c�
coopzrate in the design and the feasibiliiy studies are t:;e basis �cr staff's
recom';t°1'i�'dLluil �� anarove Resoiutions ';o. 1734 anu 1735.
..f, .:,;��;�
,,?"� : ;. CYTY- O� �.A.�3I�TT ��UL �������
,� _
j;� � "�, O�FICE OF THE CZTY COII�TCII�
�.. °`�
,�
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�,.° �'*-'�''�-;'• f.:
���„ �,;�4 D a t c>. ; December 5, 1980
��. �
C � � � ���� � � � � � ��
TO : Saint Puut City Co�ncii
FROIIA � Committee Ot1 FiNANCE, MANAGEMENT & PERSONNEL
George McP1ahon , chairman, makes the �ollowing
report on C.F. � OrcJinanc�
(9) [X] Resolution �
� c)th�r
T1�'LE :
At its meeting of December 4, 1980, the Finance Committee recommended approval
of the following: �
1 . Resolution approving transfer of $7,J38 for fencing at Prosperity Park. .
2. Resolution amending 1979 Capital Improvement Budget for S-12 Soqth Robert
Street Viaduct Walls project. (17533-GM) .
3. Resolution amending Section 16.E of the Civil Service Rules-concerning
Voluntary Reduction. (11538-GP9) � . •-- �
4. Resolution amending Section 17.B of the Civil Service Rules concerning
Transfers. (11539-GM) .
5. Resolution approving 1980 Agreements between ISD �625 and the Eleetrician, ,
Pipefitters, Plumbers and Sheet Metal l�lorker Locals. (11540-GM) �
6. Resolution amending. Section 18 of the Civil Service Rules concerning trattsfer "�'�;�;'_
or reduction because of disability due to sickness or injury. (11541-C�I) ,- _
7. Resolution approving Agreement between the City, ISD #625 and the Minnesota � �.
Teamsters Public and Law Enforcement Employees Union Local #320. (11542-�h1)
8. Resolution approving issuance of $7 million tax exempt mortgage note by the
- Port Authority to .finance construction of Holiday Inn to be located at I-94,
McKnight Road and Suburban Avenue by Battle Creek Hotel Associates. (11544-GM)
9. Resolution approving issuance of $2,500,OJ0 tax exemot mortgage note to finance
construction of Office/Office-Services facilities in Riverview Industrial Park
for t�linfield Developments Inc. (11545-GM)
CITY ri.�LL SEYE�tTH FLOOR SAINT PAUL, ZiINNrSO'�'A 5�l02
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